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Journal ArticleDOI

An empirical investigation of the relationship between intellectual capital and firms’ market value and financial performance

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TLDR
In this paper, the authors investigated empirically the relation between the value creation efficiency and firms' market valuation and financial performance, and found that firms' intellectual capital has a positive impact on market value and financial performances, and may be an indicator for future financial performance.
Abstract
Purpose – The purpose of this article is to investigate empirically the relation between the value creation efficiency and firms’ market valuation and financial performance.Design/methodology/approach – Using data drawn from Taiwanese listed companies and Pulic's Value Added Intellectual Coefficient (VAIC™) as the efficiency measure of capital employed and intellectual capital, the authors construct regression models to examine the relationship between corporate value creation efficiency and firms’ market‐to‐book value ratios, and explore the relation between intellectual capital and firms’ current as well as future financial performance.Findings – The results support the hypothesis that firms’ intellectual capital has a positive impact on market value and financial performance, and may be an indicator for future financial performance. In addition, the authors found investors may place different value on the three components of value creation efficiency (physical capital, human capital, and structural cap...

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Citations
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Journal ArticleDOI

The impact of intellectual capital on firms' market value and financial performance

TL;DR: In this article, the authors examined the impact of intellectual capital on firms' market value and financial performance and concluded that there is a statistically significant relationship between human capital efficiency and financial performances.
Journal ArticleDOI

Analysing value added as an indicator of intellectual capital and its consequences on company performance

TL;DR: In this article, the role of value added (VA) as an indicator of intellectual capital (IC) and its impact on the firm's economic, financial and stock market performance is analyzed.
Journal ArticleDOI

Intellectual capital and firm performance in Australia

TL;DR: In this paper, the effect of intellectual capital (IC) has on firm performance of Australian companies is examined using Pulic's value added intellectual coefficient (VAIC) and its components (human, structural and capital employed efficiencies (HCE, SCE, CEE)).
Journal ArticleDOI

Global labor flow network reveals the hierarchical organization and dynamics of geo-industrial clusters

TL;DR: It is argued that geo-industrial clusters defined by labor flow provide useful insights into the growth of the economy by demonstrating a stronger association between the influx of educated-workers and financial performance compared to existing aggregation units.
Journal ArticleDOI

Extended VAIC model: measuring intellectual capital components

TL;DR: In this article, the VAIC model is extended to incorporate the role of intellectual capital (IC) in organizational performance. And the authors provide a theoretical discussion designed to push the measurement of IC into a more rigorous and comprehensive domain.
References
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Book ChapterDOI

Firm Resources and Sustained Competitive Advantage

TL;DR: In this article, the authors examined the link between firm resources and sustained competitive advantage and analyzed the potential of several firm resources for generating sustained competitive advantages, including value, rareness, imitability, and substitutability.
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The Stakeholder Theory of the Corporation: Concepts, Evidence, and Implications

TL;DR: In this article, the authors examine three aspects of the stakeholder theory and critique and integrate important contributions to the literature related to each, concluding that the three aspects are mutually supportive and that the normative base of the theory-which includes the modern theory of property rights-is fundamental.
Book

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TL;DR: In this article, the authors define the concept of intellectual capital as a phrase covering corporate brainpower, information technology, and relationships with customers and suppliers, all of which influence a company's ability to make money.
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Strategy Maps: Converting Intangible Assets into Tangible Outcomes

TL;DR: In this paper, the authors present a strategy map for aligning intangible assets to enterprise strategy and planning the campaign, which is based on the Strategy Map to Strategy Map (SMSM) framework.
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The capitalization, amortization, and value-relevance of R&D

TL;DR: In this paper, the authors estimate the R&D capital of a large sample of public companies and find these estimates to be statistically reliable and economically meaningful, and they then adjust the reported earnings and book values of sample firms for the R-D capitalization and find that such adjustments are value-relevant to investors.
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